Cracking the Code of Change: Why Most Transformations Fail and How to Fix It

Did you know that 70% of digital transformations fail?

Yep, companies pour billions into new tech, expecting magic… but instead, they hit a wall. Resistance, clunky rollouts, and solutions that don’t actually fit what people need.
To put it into perspective, businesses worldwide will spend $5.1 trillion on IT in 2024—and even more in 2025. If 70% of those projects flop, that’s trillions down the drain. In fact, poor change management costs businesses a jaw-dropping $3.57 trillion every year (ouch!).
So, what’s going wrong? Why do companies keep making the same mistake?
Here’s the hard truth: Most tech transformations focus on the technology first—and completely forget about the people who need to use it.

Tech Won’t Save You: People Are the Silent Killer of Digital Transformations

I learned this lesson early in my career while working on a major PLM project for a company in Germany. They poured millions into it—fancy new tech, custom features, top consultants. But they forgot one thing: the people who would actually use it. For months, IT built the system in a bubble. Then, launch day came… and boom. The system didn’t fit how people worked, nobody wanted to use it, and frustration was off the charts. End users found workarounds, and in the end, they had to redo everything—this time with real user input. Lesson learned: If you leave people out of a transformation, it’s bound to fail.

The Dark Side of ‘Sexy’ Tech: How Flashy Tools Are Holding Back Your Transformation

Too often, companies pouring money into fancy tools without a clear plan. Tech teams love experimenting with the latest, shiniest tools. Give them a budget, and they’ll go all in—new software, AI, automation, data lakes… you name it. But here’s the problem: while IT is busy geeking out over cool features, the people who actually have to use this tech are left wondering, How is this supposed to help me? If a system doesn’t fit into real workflows or make life easier, people won’t use it. Simple as that.

Why Change Feels So Hard – The 3 Mental Blocks You Need to Break

Four years ago, I came across a simple yet powerful framework that completely changed how I think about resistance to change. Rick Maurer’s Change Resistance Model breaks it down into three key reasons why people push back:
  • I don’t get it. When people don’t understand the change, they resist it. No one has explained why it’s happening, and without that clarity, it just feels unnecessary or confusing. They might feel overwhelmed, skeptical, or think the old way was working just fine. It’s like when someone says, “Why do I have to change how I work? The old way was fine!” Without a clear reason, change feels pointless.
  • I don’t like it. Change isn’t just about logic—it’s emotional. If the new system feels frustrating, clunky, or like extra work, people won’t want to use it. Poor design, bad user experience, and lack of training only make things worse. No one wants to struggle with something that slows them down. You’ve probably heard someone complain, “This system is so ugly and slow. I don’t have time for this!” If it doesn’t feel good to use, people won’t use it.
  • I don’t like you. This is when resistance gets personal. People feel ignored, like their input didn’t matter. If they don’t trust leadership or feel left out of decisions, they won’t buy in. It’s that classic frustration: “Another top-down mandate. No one cares what we think!” When people don’t feel heard, they won’t buy in.

If you don’t tackle these three levels of resistance, even the most cutting-edge tech implementation won’t stand a chance.

5 Steps to Craft a Change Strategy That Works

Change is hard. But it doesn’t have to be a mess. The secret? A strategy that actually works—one that makes people feel heard, gets them excited, and helps them take action. Here are 5 key components to Craft a Change Strategy That Gets Everyone on Board:

1. Understand

Nobody likes being told to change.  So, start by listening.  Talk to the people who will be impacted—especially the influencers in your organization.  Gather their feedback, look for patterns, and bring it all together in a way that makes sense.  Then, share what you’ve learned and show them they’re part of the process.  When people feel heard, they’re way more likely to get on board.

2. Envision

People don’t buy into vague ideas.  They need something real—something they can see, feel, and connect with.  Take what you learned from step one and craft a vision that makes sense to them.  Instead of saying, “We’re going digital,” say, “Within two years, every product will have a Digital Product Passport, making compliance effortless.”  Instead of, “We’re improving spare parts management,” say, “Within one year, all our parts will be bought through a digital spare parts catalog, reducing order errors by 50%.” Show them how this change will make their work easier and how it fits into the bigger picture. When the vision is clear, concrete, and time-bound, people start to believe in it. People don’t buy into vague ideas. They need something real—something they can see, feel, and connect with. Take what you learned from step one and craft a vision that makes sense to them. Instead of saying, “We’re going digital,” say, “Within two years, every product will have a Digital Product Passport, making compliance effortless.” Instead of, “We’re improving spare parts management,” say, “Within one year, all our parts will be bought through a digital spare parts catalog, reducing order errors by 50%.” Show them how this change will make their work easier and how it fits into the bigger picture. When the vision is clear, concrete, and time-bound, people start to believe in it.

3. Learn

Here’s the thing: If people don’t understand the change, they’ll resist it.  That’s why learning is a must.  But forget the long, dry training sessions.  Instead, think interactive workshops, bite-sized lessons, and hands-on experiences.  Help people see the “why” behind the change while giving them the tools to succeed in the new setup.

4. Experience

Nobody likes being thrown into something new without practice.  That’s why pilots and small experiments are gold. Let people experience the change in a low-stakes way—through test runs, design sprints, or sandbox environments.  This gives them a chance to build confidence and see the benefits firsthand before it becomes “official.”

5. Connect

Change doesn’t happen in a vacuum. Keep the momentum going by building a strong community. Create spaces for feedback, encourage open conversations, and make sure leadership is accessible and involved. When people feel like they’re part of something bigger (not just following orders), they’ll be way more invested in making it work.

All these change components need to be orchestrated and success needs to be measured. That’s why in my experience what works best when starting a PLM initiative is to build a transformation team to organize and manage the people side of things.

Making Change Work: Why People, Not Tech, Hold the Key

Change is a given, but failure doesn’t have to be.  The companies that thrive put people first—not just technology.  Want your transformation to succeed?  Involve users from the start, communicate clearly, and build systems that actually help them. Leading a transformation project?  Make sure you’re making change work for your people, the right way.
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